No. SB 634
Filed under Insurance.
Rates for Citizens Property Insurance Corporation Coverage; Providing that the limitations on the required annual rate increases for Citizens Property Insurance Corporation coverage do not apply to new policies issued by the corporation on or after a specified date and to subsequent renewals of such policies, etc.
Plain English Summary
AI-GENERATEDFor a rate order issued on or after June 1, 2026, a new Citizens policy, and every renewal of that same policy, is no longer subject to the law's annual rate-increase caps.
Those caps currently limit the corporation to a 15 percent annual increase for primary residences and a 50 percent band for other policies. Removing them lets Citizens charge the full actuarially sound rate the moment a new policy is written.
An exception keeps the old caps in place for a new policy on a primary residence, but only in a county the state finds lacks a reasonable degree of competition among private insurers.
The change reaches only policies written as new on or after June 1, 2026. A renewal of a policy that already existed before that date keeps the current rate-increase limits.
AIFor a rate order issued on or after June 1, 2026, the annual rate-increase limits in subparagraphs 5 and 8 no longer apply to a new Citizens policy, and the exemption continues every time that same policy is later renewed.
AIThe removal of rate-increase limits does not apply to a new policy covering a primary residence if the property sits in a county the Office of Insurance Regulation determines lacks a reasonable degree of competition, so those policyholders keep the existing caps.